Do You Think Alphabet (GOOG) is Facing a Disruption Threat from ChatGPT?

Platinum Asset Management, an investment management company, released its Q3 2025 investor letter for “Platinum International Technology Fund”. A copy of the letter can be downloaded here. The fund was up 6% in the third quarter, driven by strong performance from AI-oriented holdings. The portfolio holds around 30% of its stake in AI infrastructure stocks and is positioned to benefit from significant investment in the AI build-out. In addition, you can check the fund’s top 5 holdings to find out its best picks for 2025.

In its third-quarter 2025 investor letter, Platinum International Technology Fund highlighted stocks such as Alphabet Inc. (NASDAQ:GOOG). Alphabet Inc. (NASDAQ:GOOG), the parent company of Google, offers various platforms and services operating through Google Services, Google Cloud, and Other Bets segments. The one-month return for Alphabet Inc. (NASDAQ:GOOG) was 5.03%, and its shares gained 61.84% over the last 52 weeks. On December 16, 2025, Alphabet Inc. (NASDAQ:GOOG) stock closed at $307.73 per share, with a market capitalization of $3.715 billion.

Platinum International Technology Fund stated the following regarding Alphabet Inc. (NASDAQ:GOOG) in its third quarter 2025 investor letter:

“To date, the growth in OpenAI user engagement has come at the expense of Alphabet Inc. (NASDAQ:GOOG). Whilst Google Search still holds the largest search engine share, their share of total search queries is less than 70% (see Figure 3). We think this trend will continue as ChatGPT improves and the traditional search experience continues to degrade as the open internet is further inundated with low quality generative AI content and advertising.

We believe both Alphabet and Meta are using the right strategies to defend their franchises. Both are keeping up with OpenAI on model performance (helped by advantages in both datasets and infrastructure). They are also leveraging their existing products for distribution. Alphabet is pushing Gemini into Android, Chrome and search (AI Overview) and will be launching AI Mode directly in Google.com. Meta is integrating Meta AI into its family of apps and its recently launched Meta AI standalone app has garnered a lot of attention…” (Click here to read the full text)

Alphabet Inc. (NASDAQ:GOOG) is in the 7th position on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 186 hedge fund portfolios held Alphabet Inc. (NASDAQ:GOOG) at the end of the third quarter which was 178 in the previous quarter. In the third quarter of 2025, Alphabet Inc. (NASDAQ: GOOG) achieved its first-ever $100 billion in revenue. While we acknowledge the risk and potential of Alphabet Inc. (NASDAQ:GOOG) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than ALPHABET INC. (NASDAQ:GOOG) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered Alphabet Inc. (NASDAQ:GOOG) and shared the list of top AI and technology stocks to buy according to hedge funds. In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.